Everybody loves growth stocks. This means that the company actually grow its revenues and profits, so providing a clear trajectory of the share price growth.
Everyone also loves the dividends. This means that the company pays investors a quarterly distribution, so investors pay only for the ownership of the shares.
If everyone loves a growth stock and like the dividends on shares, then all must really love stocks with high growth rates of the dividends, right?
Right. But they are hard to find. Stocks with high growth rates of dividends as the needles in the haystack. Many companies have big dividends, not growth. Meanwhile, high growth companies not to invest in dividends.
With that in mind, here is a list of my 3 favorite high-growth dividend stocks that give investors quarterly distribution and a healthy growth of earnings.
Stocks with high growth dividends 1: Apple (aapl),
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There is no company in the world like Apple. (NASDAQ:THE BASIC COST).
Not only is Apple the world’s largest publicly traded company, but it is also perhaps the world’s most recognizable brand. A brand that continues to create new products and cross-sell and up-sell consumers. These few cross-sales (Apple watch, Apple music, etc.) and sale (the$1,000 iPhone x) capabilities translate into consistent and healthy earnings growth.
In the last quarter, revenues grew by 16% to a record high.
Meanwhile, the company is so big that it has more than enough money to go to healthy dividends.
Currently the dividend yield on the stock is about 1.5%. But when making the Apple becomes a pure monetary neutrality over the next few years, which means that billions dollars will be spent on Hiking that dividend. Thus, the current 1.5% yield is probably only bigger with time.
Overall, the company has promotions where you can get a stable and healthy revenue growth along with a large and growing dividend. That’s a great combination.
Shares recently weak as wall Street is mad how many iPhone x, the company sold. The harsh reality is that far less than anyone expected. But the stock has already scored on these problems, and the rest of the Apple is very good.
Consequently, Apple shares should be bought on this weakness.
High growth dividend stock 2: Intel (INTC)
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Chip maker Intel (Nasdaq:INTC) was one of those healthy dividends stocks with subdued growth prospects.
But lately that has changed in a big way. Business model is undergoing the most revolutionary changes in the history of the company from a PC-centric business to data centric business. In simple terms, this means that the company has put its focus from making chips for computers, for the manufacture of chips for data centers, Autonomous technology, and the like.
This transition has led to renewed top and bottom line growth. Data transfer Intel for business currently accounts for approximately half of the total business and growing at a 25% clip, led by growth in data center market.
This not only leads to a large increase in revenues (overall revenues grew by 13% yoy in the last quarter), but even greater revenue growth (32%). As it turned out, data-centric business has high profitability, and therefore, as a business scales, the overall profile of the company margin increases.
Meanwhile, amid all this renewed operational strength, dividends, Intel is still here. There are still the dividend yield is 2.3%, which is very great for company revenue growth of 30%-plus clip.
Plus, the stock is pretty cheap. Shares of stock trading at less than 14 times guided earnings for this year. Considering leadership management have proven themselves as conservative realistic fiscal 2018 earnings multiple is more like 12 or below. It’s dirt cheap.
Overall, INTC really cheap stock with the strengthening growth prospects and healthy dividends. This combination makes the stock a good one to have.
Stocks With High Growth Rates Of Dividends 3: Nike, Inc. (NCRE)
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When it comes to the sports retail market, it is difficult to argue with the undisputed king, Nike, Inc. (TICKER NYSE:NKE).
Over the past two decades, Nicki has become the only consistently dominant player in sports retail. New faces appear and try to steal market share. They do, but they never get to the Nike scale (see rags to promote ink. (NASDAQ:LULU)). Old faces to pop up and try to ride trends to date. They do, but then again, they never truly threaten the dominance of Nike (see under armor Inc (USA:UAA) and Adidas AG/s ADR (OTCMKTS:ADDYY)).
In other words, the retail landscape has changed dramatically over the last 20 years. But the only thing that remains unchanged is the dominance of Nike. Because of this, the revenue and profit growth has remained mostly positive, despite the increase in scale.
History tells us that this growth is sustainable in the long window. But in the short term, the management do insist on rolling their business in North America, where long ago was not so hot. The good news is that the leadership of North America, the case is near the critical point, meaning green pastures ahead in terms of growth.
Even with all this growth, NKE stock still has a pleasant and healthy dividends. Currently, stocks with dividend yields in the amount of 1.15%.
It’s not healthy. But it’s damn good for the company as a reliable profile of growth as Nike.
I warn you that NKE shares may be overextended here and now. The rating is quite rich, and Adidas has to market share. Thus, shares may retreat in the near future.
But in the long term, a robust growth profile and strong NKE dividend makes it a solid investment in multi window.
At the time of this writing, Luke Lango was a long sharply and stocks.